Question: When do I set the Copy files to iTunes Music Folder option in iTunes?
There is no correct answer here. It depends on what you want to do.
If like me, you have your music files (as opposed to the iTunes library itself) on an external hard drive, then you would probably want to uncheck this box. Why? Because if checked, all that external music will be copied into your iTunes library folder upon import. This slows the import process significantly, and your music will consume double the hard drive space as well. When this box is unchecked, iTunes makes links to the music in its library rather than copying the actual music files. Probably not what you want to do if your C drive has little space.
On the other hand, if your library is small, or you’re a novice and you actually began your music collection in iTunes, then it makes sense to check this box, just to keep the library and music together and avoid potential confusion over where your music is. Also, if you buy all your music from the iTunes store, then it’s a good idea just to keep it in the iTunes library. But again, personal preference is the ultimate dictum here.
Keeping it in the iTunes library lessens the chances of getting errors about missing files because in this scenario, people usually allow iTunes to organize music into folders by artist, and then by album. They’re not likely therefore to muck with this directory structure outside of iTunes. Further, when all the music is on the C drive, the likelihood of that drive letter changing and causing the missing music error is relatively small.
The iTunes folder is located by default at:
C:\Documents And Settings\Me\My Documents\My Music\iTunes
The iTunes folder contains the iTunes library. The library consists of several files and directories. So no, to answer your question, the iTunes library is technically not the same as the iTunes folder.
Tom Hesley